Which of the following are the newer financial instruments and services that appear to have good prospects for rapid market development in the future?
A) Loans to remodel residential dwellings (due to the aging of existing homes and greater availability of home equity credit)
B) Small business loans
C) Credit swaps and other credit risk derivatives, which permit a lending institution to seek protection . against loan defaults and depreciation in asset values
D) None of the above
E) All of the above

Question

Quizplus · Accepted Answer

Loans for remodeling residential dwellings are becoming more popular due to the aging housing stock and increased availability of home equity credit. Small business loans continue to be a critical area for economic growth and development. Credit swaps and other credit risk derivatives are increasingly used by financial institutions to manage and mitigate risks associated with loan defaults and asset depreciation, indicating their potential for rapid market development.

Which of the Following Are the Newer Financial Instruments and Services